Ms Mogherini, who was speaking at a news conference in Brussels alongside Mr Netanyahu, said the EU would continue to recognise the “international consensus” on Jerusalem.

“There is full EU unity on this, that the only realistic solution to the conflict between Israel and Palestine is based on two states with Jerusalem as the capital of both the state of Israel and the state of Palestine.

“The EU and member states will continue to respect the international consensus on Jerusalem until the final status of the holy city is resolved, through direct negotiations between the parties.”